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Making Money in the Retail Yard
In all lumber selling organizations, profits can only be increased in two ways:
(r) By decreasing expense.
(b) By increasing volume.
Expense cannot safely be reduced below a certain normal point without resulting in impaired efficiency. Should it run above that point there is something wrong with the management.
Volume can be increased, however, without limit, and the greater the increase the greater the profits, because in a properly managed yard expenses never increase in proportion to sales.
Few dealers or managers have ever "milked their terri. tory dry." After a certain length of time when the volume of sales has reached a normal or natural point they, unconsciously perhaps, begin to rest on their oars.
The man in charge believes that he is selling all there is to sell. He insists that he is getting it all when, as a matter of fact, he hasn't hit any better than the average line. The business that he is getting might be called natural business. It does not require exceptional selling ability to get it. It is the yard average or just about the volume that any manager would sell in that particular yard.
Most dealers slow down as soon as they reach. the normal point. They worry just a little up to the time of the year when their records show that they are going to hit the average record. Then they slow down. If they lose a sale it doesn't worry them because they are up to the average.
It is the volume that is reached above the normal point that counts.
Opens School
Spokane, Wash., Mar. 3.-Establishment of a school rvhere employees may learn the more technical phases of the lumber industry and qualify themselves for better posi- tions has been announced recently at Deer Park bv the Deer Park Lumber Company.
. Thre.e principal departments of the school are to open immediately, it is announced. Weekly classes will be held.
DAVID B. HUNTER DIES
David -B. Hunter, 84, pioneer in the lumber industry in tbe east -bay section, died at his home in Berkeley, Feb. 20. Hunter founded the Hunter Lumber Company bui in recent years had been in retirement. IIe was a native of Pennsyrvanla.